Garuda Pays its Bills

Increased Passenger Loads Allow Garuda to Keep Debts Current.

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(1/5/2004)

Garuda Indonesia Airways carried 7,299,072 passengers system-wide in 2003, an increase of 4.9% as compared to total passenger uplifts just one year earlier. Improved loads in 2003 made it possible for Indonesia's National Carrier to pay its rescheduled debt amounting to US$ 66,9 million.

On December 22, 2003, Garuda paid US$ 44.2 million and Indonesian Rupiah 66.7 billion (approximately US$ 7.84 million) to JP Morgan. At the same time, the Airline paid US$ 2.4 million to the European Credit Agency (ECA). One week later on December 29, 2003. Garuda also paid US$ 2.5 million to EDC (Tranch A) and US$ 648,700 to EDC Tranch B.

December also saw Garuda pay Rp. 64.9 billion (approximately US$ 7.64 million) in convertible bonds due to a syndicate of local banks and Angakasa Pura I & II - the operators of Indonesia's main air terminals.

In accordance with the debt restructuring scenario formalized by the Airline, some US$ 110 million of in debt must be repaid each year for the next seven years.